Bitcoins

soft_trader

Well-Known Member
#81
I hold counter views and totally disagree with this post. It is based on shallow understanding, mostly on what one gets to read on internet and duffer Indian media. Many things are factually wrong in this post. Short on time so I will post my detail reply later. Just want to tell there is a quote from US Fed Chief where he said "USA can print unlimited money at zero cost". I tried locating/finding this old quote but could not "so far". I read this quote and the link (credible web it was, interview type) on Orkut in 2008. Elephantine memory!!
Yes they can actually print money at zero cost or near negligible cost if they have paper and ink to print. But it is not so easy. Just look at what happened in Zimbabwe. Zimbabwe's peak month of inflation is estimated at 79.6 billion percent in mid-November 2008. This is what happens when govt decides to print 'unlimited money'.
 

Tejas Khoday

Co-Founder & CEO, FYERS
#82
I hold counter views and totally disagree with this post. It is based on shallow understanding, mostly on what one gets to read on internet and duffer Indian media. Many things are factually wrong in this post. Short on time so I will post my detail reply later. Just want to tell there is a quote from US Fed Chief where he said "USA can print unlimited money at zero cost". I tried locating/finding this old quote but could not "so far". I read this quote and the link (credible web it was, interview type) on Orkut in 2008. Elephantine memory!!
Yes @Punter786, I assume a lot of people completely disagree with me just like you do. I strongly believe that Bitcoin is likely to collapse on its own hype. My views are not based on Indian Media reports. In fact, there are barely any discussions about it on media channels. Just stating facts as they are. I know a few die-hard Bitcoin enthusiasts who are part of the crypto community here. One of them is the author of a book on Bitcoin too. It's too idealistic IMO. Easier said than done! Bitcoin is for holy grail to the currency problems that we face today. Fiat Monetary systems are inflationary whereas a gold/limit based monetary system is deflationary and has proven to be disastrous in the past. Just because the US Fed Chief or whoever said that unlimited money can be printed, it doesn't mean that it will be done in reality without facing dire consequences.

In theory, theory and practice are the same. In practice, they aren't.
 
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#83
Yes they can actually print money at zero cost or near negligible cost if they have paper and ink to print. But it is not so easy. Just look at what happened in Zimbabwe. Zimbabwe's peak month of inflation is estimated at 79.6 billion percent in mid-November 2008. This is what happens when govt decides to print 'unlimited money'.
Bro, you are such a voice of wisdom and balance, I really like you, cannot believe you came up with this!

Now to the reply - but is there anything to reply when US and Zimbabwe are compared!

Anyway, firstly, do you have any idea about the money printed by US fed after 2008?

Freaking more than 5 Trillion dollars. Trillions. Without Any sign of inflation... analysts began calling Fed impotent for not being able to create inflation despite insane amount of money printing!! Dollar is the reserve currency of the world, many factors involved, don't literally pick the meaning of one word cost.
 
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#84
Yes @Punter786, I assume a lot of people completely disagree with me just like you do. I strongly believe that Bitcoin is likely to collapse on its own hype. My views are not based on Indian Media reports. In fact, there are barely any discussions about it on media channels. Just stating facts as they are. I know a few die-hard Bitcoin enthusiasts who are part of the crypto community here. One of them is the author of a book on Bitcoin too. It's too idealistic IMO. Easier said than done! Bitcoin is for holy grail to the currency problems that we face today. Fiat Monetary systems are inflationary whereas a gold/limit based monetary system is deflationary and has proven to be disastrous in the past. Just because the US Fed Chief or whoever said that unlimited money can be printed, it doesn't mean that it will be done in reality without facing dire consequences.

In theory, theory and practice are the same. In practice, they aren't.
You have right to predict the future of bitcoin. No problem on that. So many big economists, which include noble lauretes, have been writing the epitaph of Bitcoin each year from its birth 11 year ago. It has fallen and even collapsed in the past many times but has always managed to rise from ashes like phoenix. The idea and thinking behind bitcoin is too profound, too attractive, and completely feasible - it will never die.

Regarding my disagreements with you, it was on what you were saying about government views. The final view on cryptocurrency is still pending, one committee has submitted its views, SC has yet to announce its verdict. Govt does not consider it as legal tender but at the same time it is not calling it illegal!! The too are very subtle and different things, hope you get that.

Secondly, what you wrote regarding bitcoin, the things against it is usually the stuff I read in pink press - based on simplistic understanding and assumptions.

They completely disregards the facts, like you, that BTC is legal in many advanced countries. So many reputed US funds are trading in it. It is going to have its ETF and futures market soon.

BTC is not a product of anger or born to take revenge. Its central theme must not be missed: decentralised, controlled by none, produced in fixed amount. How can a thing which will be unlimited have any value! Big scam.
 
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soft_trader

Well-Known Member
#86
Bro, you are such a voice of wisdom and balance, I really like you, cannot believe you came up with this!

Now to the reply - but is there anything to reply when US and Zimbabwe are compared!

Anyway, firstly, do you have any idea about the money printed by US fed after 2008?

Freaking more than 5 Trillion dollars. Trillions. Without Any sign of inflation... analysts began calling Fed impotent for not being able to create inflation despite insane amount of money printing!! Dollar is the reserve currency of the world, many factors involved, don't literally pick the meaning of one word cost.
I know they printed hell lot of money but it can't be 'unlimited'. USA is a big economy so those trillions got absorbed it it but my point is it just can't be 'unlimited'.
 
#87
I know they printed hell lot of money but it can't be 'unlimited'. USA is a big economy so those trillions got absorbed it it but my point is it just can't be 'unlimited'.
Unlimited means this: economy is not recovering? Oh, well, let us print 10 trillions dollars more!! Keep pumping, keep printing.... debasing effect can be delayed but cannot be stopped. Enjoy the party till the music is on.
 
#89
Punter786, what's so special about Bitcoin that other cryptocurrency does not have? Agree, it's the first one created, but their nothing else to differentiate.

The concept is useful and has many applications (underwriting is on which is being used by many banks/insurance/shipping industries). But BTC (or any other currency) as alternate currency will never take off! The reason being simple, people understand money which they can see even if they don't carry any actual value on printed paper but for hundreds of years gone by and everyone in world (accept view tribes living in amazon) accept it as legal tender.

Cryptocurrency other hand is limited to select few those who have extra money to burn (ok invest). It might catch-up but it could take hundred more years. But if world govt rule just bcos they could manipulate paper currency, imaging corporate/individuals who could do same with crypto.

As earlier posts pointed that fixed distribution of currency will create deflation which is not good for anyone.
 

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